Good morning! Here’s what you need to know.
Greece’s previous main left-wing party joined the official opposition to the government. Greece’s socialist PASOK party joined the main opposition on Sunday in saying it would not back Prime Minister Alexis Tsipras if he calls a confidence vote following a rebellion in the governing party over a new bailout deal.
And Merkel says the IMF will take part in Greece’s third bailout. German Chancellor Angela Merkel tried to reassure sceptical lawmakers on Sunday that the International Monetary Fund would take part in a new bailout for Greece, before a parliamentary vote in which many of her conservatives may break ranks and reject the rescue.
Japan contracted in the second quarter. Japanese economic growth contracted at a slower-than-expected pace during the June quarter with the government reporting a decline of 0.4%. The figure, which beat expectations for a contraction of 0.5%, was the first quarter since Q3 2014 that a decline had been recorded.
The People’s Bank of China strengthened the yuan by a tiny amount. China’s central bank on Monday raised the value of the yuan against the US dollar by 0.01 per cent, the national foreign exchange market said, after a devaluation last week rocked markets.
Germany’s Mann + Hummel bought a branch of Affinia for $US1.3-1.4 billion (£830-890 billion). German car parts maker Mann + Hummel is buying U.S. firm Affinia’s auto filter unit for $US1.3-1.4 billion, a person familiar with the transaction said on Sunday.
Asian markets are mixed. Japan’s Nikkei is leading the way, up 0.25%, while the Shanghai Composite is down 0.16% and Hong Kong’s Hang Seng is down 0.93%.
The eurozone trade balance is coming. At 10 a.m. London time we’ll get the figures for the eurozone’s trade balance in June. The bloc registered a trade surplus worth €18.8 billion ($US20.86 billion, £13.33 billion) in May.
Protesters in Brazil want the president impeached. Tens of thousands of demonstrators gathered across Brazil on Sunday to call for the impeachment of President Dilma Rousseff, whom they blame for a vast corruption scandal and the economy’s worst slump in a quarter century.
The US landed 22 air strikes against ISIS. The United States and its allies have conducted 22 air strikes against the Islamic State in Iraq and Syria in the past 24 hours, the US military said on Sunday. In Syria, three strikes near Hasaka in northeast Syria hit a tactical unit and destroyed Islamic State fighting positions, bunkers, and excavators.
Iraq is scrapping a third of cabinet positions. Iraqi Prime Minister Haider al-Abadi announced the removal of 11 of 33 cabinet posts Sunday, the first concrete step in a reform drive to curb corruption and streamline the government.